Aged Care

Cashflow Scenario Tool:

Aged Care Loan Comparison

Property Value:
$
(Estimated market value of house to be financed. Assumed to be owned outright with no debt.)
RAD Quoted:
$
(Refundable Accommodation Deposit)
RAD to be paid:
$
(Refundable Accommodation Deposit)
Cash At Bank:
$
Rental Income (pw):
$
(Input estimated weekly rental income if property is to be rented)
Out of pocket (per day):
$
(Input estimated out of pocket expense per day)
Pension per fortnight: (Sell The House)
 
 
Pension per fortnight: (Keep The House)
 
 
Basic Daily Fee per day:


Results

SELL THE HOUSE KEEP THE HOUSE
Refundable Accommodation Deposit $ $
     
Assets
RAD to be paid $ $
Cash at Bank $ $
Property Value - $
Total Assets $ $
Assessed Assets $ $
Assessed Assets Benefit from retaining home $ $
     
Liabilities
Aged Care Loan - $
Total Liabilities - $
     
Net Assets $ $
     
Income
Pension $ $
Term Deposit Interest $ $
Rental Income - $
Total $ $
     
Expenses
Basic Daily Fee pa $ $
Means Tested Care Fee per day $ $
Means Tested Care Fee pa $ $
Out of pocket $ $
Total $ $
Daily Accommodation Payment (deducted from RAD) $ $
     
Cashflow pa $ $
Cash at Bank $ $
Exhaustion of savings (years)
     
Cost or saving of using aged care loan vs selling house $
     
Interest cost of Aged Care Loan pa   $
Increase in property value pa   $




*The calculator is a guide only and may not meet your individual circumstances. You should obtain your own legal and /or financial advice before acting upon any information obtained from the calculator.

No representations or warranties of any kind are made about the accuracy, completeness, currency, reliability or suitability of the information for any purpose. Users acknowledge that they should seek further professional advice before relying on this information to make any decisions. *


Notes:

Sell the House

This scenario assumes the sale proceeds of the house exceed the RAD Quoted and the RAD Quoted is paid in full.

Keep the House

This scenario works by the user choosing what RAD to pay and can be less than the RAD Quoted.

Refundable Accommodation Deposit (RAD)

The cost of the room at 100% of the RAD.

Property Value

Estimated market value of house to be financed. Assumed to be owned outright with no debt.

Assessed Assets

Your primary residence is currently assessed at $162,087.

Assessed Assets Benefit from retaining home

These assets are not assessed due to retaining the family home.

Aged Care Loan

Maximum 50% of the property value. Interest excluded.

Net Assets

Total Assets less Total Liabilities.

Pension per fortnight

Calculated at current rates. Go to http://www.yourpension.com.au/APCalc and input your fortnightly pension.

Term Deposit interest

Assumed 2.5% pa.

Rental income pw

Input estimated weekly rental income if property is to be rented.

Basic Daily Fee per day

$49 at current rates. To check go to https://www.myagedcare.gov.au/fee-estimator/residential-care/form and input details.

Means Tested Care Fee per day

Calculates at current rates. To check go to https://www.myagedcare.gov.au/fee-estimator/residential-care/form.

Out of pocket

Daily incidental expenses.

Daily Accommodation Payment(DAP)

If a smaller RAD is paid a DAP will be due. The DAP is calculated based on current Maximum Permissible Interest Rate (MPIR) at 5.73%. See https://agedcare.health.gov.au/aged-care-funding/refundable-deposit-balance-and-accommodation-bond-balance-refund-interest-rates for more details

Cashflow pa

Total income less Total Expenses. For the Keep The House scenario any DAP is deducted from the RAD.

Exhaustion of savings (years)

Cash at Bank or savings divided by Cashflow. The number of years savings will cover expenses.

Cost or saving of using aged care loan vs selling house

The additional cost pa of using the aged care versus selling the house.

Interest cost of Aged Care Loan

Interest cost of aged care loan at current rate of 5.6% pa.

Increase the property value

The increase in property value at 3.0% pa.